Today, we’re going to reveal 10 celebrities linked to fraud and corruption. These stories shed light on the dark side of fame and the legal troubles these public figures have faced.

1. **Terry Pheto** – The Special Investigation Unit auctioned Terry Pheto’s home after she was implicated in the National Lotteries Commission scandal.

The SIU head, Advocate Andy Mothibi, confirmed that Pheto’s nonprofit organization, The Thula Project, of which she was the director, was one of the companies that benefited from the lottery funds. Investigators found that Terry obtained R4 million, which was paid to a nonprofit organization on March 2, 2023.

It was claimed that Pheto used R3 million of the funds she was accused of stealing to build a luxury home. The report states that the National Lotteries Commission awarded a grant of more than R10 million to nonprofit entities to stage a South African Youth Awards ceremony, but the NPOs did not allocate the R10 million received towards the awards.

2. **Presley Chweneyagae** – Presley Chweneyagae was the second South African actor to be implicated in the National Lottery scandal and was being investigated by the Special Investigating Unit.

His involvement in the multi-million fraud case came a month after his co-star Terry Pheto was accused of misappropriation of funds intended for the poor. According to News24, over R675 million was paid to the South African Youth Movement, of which the actor was said to be the ambassador.

Presley was the co-writer and co-director of a musical show, “Taking Back the Future,” which reportedly received R15 million from the National Lotteries Commission. The show was supposed to have taken place in three provinces as part of the agreement in 2017, however, it never happened.

3. **Dr. Dumi Zuma (Dr. Tumi)** – Dr. Dumi Zuma, better known as Dr. Tumi, along with his wife and four other suspects, was accused of defrauding the National Lotteries Commission out of more than R1.6 million.

He and his wife, Khanyi Mbau, appeared in the Pretoria Commercial Crimes Court in April 2023. The alleged fraud involves an altered grant application submitted to the NLC for funding in October 2018.

A grant of R1.6 million was paid to a nonprofit organization. The investigation found that the money was paid into a bank account opened at ABSA. The Hawks alleged that Dr. Tumi and his wife benefited to the sum of R760,000 from the lottery funds.

4. **Somizi Mhlongo** – Popularly known as “Drano” on the SABC1 series “Scandal,” Somizi Mhlongo was involved in a Bitcoin scandal that saw around 140 people, including Metro FM listeners, losing their life savings.

According to the police, the radio host is alleged to have been involved in the scam, which he reportedly promoted on his radio show in 2020, telling investors they will get rewarded based on how much they have invested.

Those who signed up were given a standard bank account to deposit their money into and reference numbers. They were told they will only see returns after 6 months, but 6 months later, investors were unable to access their accounts and withdraw their benefits.

That’s when they realized that the details given to them were blocked. When the victims questioned Mhlongo about their investments, he told them that the Mining City scam had collapsed due to inflation rates.

5. **DJ Shimza** – In 2021, the Public Service Commission launched an investigation into how popular DJ Shimza’s restaurant scored a R150,000 government gig without tendering for it or being in the Department of Tourism database.

The probe came after the commission received a complaint launched through the national anti-corruption hotline. This matter was in relation to a cook-off with TV personality Siba hosted by then-Tourism Minister Mmamoloko Kubayi.

The department spent R150,000 on a cook-off at Shimza’s restaurant, The Hang Out. It is alleged that the tender was irregularly awarded as DJ Shimza was not registered on the department’s database of service providers and that normal procurement regulations were contravened.

Furthermore, DJ Shimza is alleged to have stated on social media that he was simply called by the department to submit a quotation and that he was subsequently awarded the tender after consideration. After investigating the complaints, the PSC decided to probe further into the matter.

6. **Carol Bouwer** – Former “Generations” actress Carol Bouwer was implicated in a multi-million fraud case. According to City Press, the businesswoman was being investigated by the Hawks for involvement in a R40 million tender in 2013.

Carol was also being investigated for a R7 million payment from the National Lottery in 2020, which was allegedly paid to a nonprofit company. It was reported that Bouwer was awarded the lucrative R40 million tender through a company, Carol Bouwer Productions, for the organization of the Nelson Mandela memorial service in 2013 in Port Elizabeth.

It is alleged that Bouwer included costs as follows: R2.9 million for infrastructure, R100,000 for additional lighting, R1.4 million for audio, R500,000 for videography, R65,000 for technical support, R170,000 for security, and R780,000 for a contingency fee.

Bouwer also included a R2.3 million management fee for the event. In addition, Bouwer charged R3.6 million for 400,000 t-shirts and was reportedly hired by a PR company without following proper procedures.

7. **Arafat** – Musician and producer Arafat was allegedly tangled up in the misappropriation of R56 million in community development funds from the National Lotteries Commission.

A nonprofit organization linked to Arafat applied for grant funding to assist unemployed youth in the poor and rural areas of the country to impart skills in music, film production, dance, and overall business development in South Africa.

The SIU investigation shows that the organization applied for grant funding to the tune of R18 million back in 2013 but was approved for just over R9 million, which was paid over two tranches from 2014 to 2015.

In October 2014, the organization received its first tranche of R4.6 million from the NLC, and a second tranche of the same amount followed in 2015. However, the money was not used as intended.

The National Prosecuting Authority’s Asset Forfeiture Unit and the Special Investigating Unit obtained a preservation order from the High Court in Pretoria to freeze three luxury properties, a plot, and a portion of a farm linked to the alleged stealing of lottery funding meant for the community development project, which Arafat was part of.

8. **Mome** – Mome is a flamboyant reality TV star and businesswoman who portrays wealth, but behind the opulence, many have questioned where the never-ending wealth comes from.

Reality TV star and businesswoman Mome was put on the hot seat by the investigative show “Carte Blanche” to answer allegations of fraud and corruption, which had allegedly been the reason for her family’s wealth.

In 2013, Mome was arrested on charges of fraud and forgery after allegedly being awarded over R140 million worth of government tenders through a company, Maintenance and Transport, after supplying false information to the Construction Industry Development Board. In another case, Mome was facing 119 counts of tax fraud valued at R5 million for submitting fake invoices.

She later blamed the oversight on a bookkeeper. Reports also stated that Mome was also charged with corruption for allegedly trying to persuade a state witness in one of the tax fraud cases to tamper with evidence.

9. **Lamo** – The NLC paid over R1.7 million for a Women’s Day flash mob activation in 2021 that never happened. All the NLC got for R1.7 million was a poor-quality video of three men dancing in an empty gym.

Although the NLC published several posts promoting the flash mob on social media, “GroundUp” has been unable to find any instances of the video ever being published online.

The NLC commissioned a company to produce the video, but what is suspicious is that instead of directly paying a scope for the video, the NLC asked Motswako, the owner of Johannesburg-based Power FM and Limpopo-based Capricorn FM, to pay El Scope for the video.

The video featuring social media personality and performance artist Lebo Mashile’s dance group, Boys in Hills, is badly filmed and has substandard production values.

Lamo also participated as a speaker or panelist at three NLC ethics events in April and May 2021. On April 5, “GroundUp” revealed how Motswako paid for a video for a flash mob activation that never happened, which cost over R1.7 million.

10. **Sarika Singh (Sarang)** – Sarika Singh, known as Sarang, was not involved in corruption directly, but she was linked to corruption by association.

Sarang was married to Jayendra Naidoo, the former CEO of the tech company EOH, which was alleged to have paid an amount of R1.6 million for personal benefits.

The Zondo Commission of Inquiry made this discovery in 2020. The controversial businessman and Minister Zweli Mkhize were arrested, and they made their court appearance on June 5, 2024.

The two accused were later released on bail of R30,000. In a video shared by SOS, Mkhize put up a pretentious smile while Naidoo was expressional in reaction to the scandal. Netizens shared their mixed opinions about how Sarang’s name was also mentioned.

These stories highlight the complex and often murky world of celebrity and the legal troubles that can arise when fame and fortune intersect with corruption and fraud.

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